GlenFed Reports Record Profits for Quarter, Year

The parent company of Glendale Federal Savings, the nation’s fifth-largest savings and loan institution, reported a record annual profit of $88.3 million, 59% greater than last year.

Fourth-quarter earnings also set a record, GlenFed said, up 42% over year-ago levels to $25.8 million. The company’s fiscal year ended June 30.

GlenFed also increased its dividend to 10 cents a share, payable Aug. 15 to shareholders of record Aug. 4. The present dividend is 7 1/2 cents a share.

Assets grew to $16.4 billion, up 24% from a year ago.

GlenFed has 186 branch offices in California and Florida.

“Fiscal 1986 was the best year in our company’s history and the third consecutive year of record earnings,” GlenFed Chief Executive Raymond Edwards said in a statement. “We expect fiscal 1987 to also be an excellent year.”

Meanwhile, Home Federal Savings & Loan, based in San Diego, said second-quarter earnings reached $25.8 million, an increase of 22% over the same quarter last year. Six-month earnings were $49.1 million, up 19%.

“Our declining costs of funds and increased home loan volume contributed to our profitability this quarter,” Home Federal Chief Executive Kim Fletcher said.

Home Federal said it made $10 million by selling assets but added $10 million to loan loss reserves. Home Federal has $10.8 billion in assets and 166 branch offices statewide.